Santander Chile Rolls out Dim Sum

Santander Chile Rolls out Dim Sum

November 19, 2012

Santander Chile has become the first Latin American financial institution to issue a public transaction in the Dim Sum bond market, with a CNH500m ($80m) sale. The Chilean lender priced the 2014 Chinese Renminbi-denominated bond sold in Hong Kong at par with a 3.75% yield, in a deal described as cost effective to its dollar curve, according to a source familiar with the transaction. Demand was heard reaching CNH900m, with fund managers comprising 50% of the final book, private banking buyers 25%, banks 21%, and other investors 4%. Hong Kong accounts accounted for 54%, Singapore accounts 25%, Europeans 17%, and other Asians 4%. Deutsche Bank and Standard Chartered led the transaction, rated Aa3/A/A+. The sale follows Banco do Brasil’s CNH166m 2014, priced this year in a private sale at a 3.5% yield.

Santander Chile has become the first Latin American financial institution to issue a public transaction in the Dim Sum bond market, with a CNH500m ($80m) sale. The Chilean lender priced the 2014 Chinese Renminbi-denominated bond sold in Hong Kong at par with a 3.75% yield, in a deal described as cost effective to its dollar curve, according to a source familiar with the transaction. Demand was heard reaching CNH900m, with fund managers comprising 50% of the final book, private banking buyers 25%